Central Banks Are Now In The Endgame


We have invested seriously in physical gold since 2002. We had the years leading up to this century studied global risk and carefully researched the best way to protect against this risk. Our conclusion was the financial and currency system was unlikely to survive based on our risk analysis which also included understanding history.

We are not gold bugs but see owning physical gold as the best protection against the consequences of another failed financial and currency system.

As we discussed in our MAMChat last week discussing the gold flash crash, the attempt to depress the gold price by dumping $4 billion of paper gold was just the final part of a normal correction.

Gold will move to $3000

Our interest in gold is purely for fundamental reasons but sometimes it is interesting to look at technical patterns.

The chart above shows that the corrective C-wave reached support at $1,680. That was probably the end of a minor correction and gold should soon start the move to the next target of $3,000. Rising above $1,900 will be confirmation of the resumed uptrend.

Gold is in a secular uptrend since 1999 and no action by central banks can stop the move to levels that are unthinkable today.

But investors should not focus on what price gold could reach but instead how far their assets (stocks, bonds, property) measured in dollars or euros can fall. In my view, the falls will be much more than 50% and probably more than 90%.

Physical gold, securely vaulted in a safe jurisdiction such as Switzerland, has always been the best protection against a failed currency and financial system.

This time will not be different.

1 2 3 4
View single page >> |

Disclaimer: Information and opinions contained in this article are gathered and derived from sources which we believe to be reliable. However, we can offer no undertaking, representation or ...

How did you like this article? Let us know so we can better customize your reading experience.


Leave a comment to automatically be entered into our contest to win a free Echo Show.